Belgium's Federal Government has reached a budget agreement, but independent business groups have mixed feelings about its impact.
The Neutral Syndicate for Independents (SNI) welcomed the agreement for bringing much-needed stability to the entrepreneurial world.
However, they criticised the De Wever government for relying on targeted tax increases to address the deficit, which they claim disproportionately affect productive sectors of the economy.
One of their main concerns is the increased VAT on hotels, sports, and leisure activities. According to the SNI and the Syndicate for Independents (SDI), this measure is a significant blow to industries still recovering from the effects of the recent crisis.
The reform of salary indexation for high earners (over €4,000 per month), however, has been met with cautious approval. The SNI sees it as a step towards comprehensive reform of Belgium’s indexation system, which they argue has exacerbated the country’s wage handicap over the years.
The SNI plans to closely examine the measures’ overall impact and urges the government to offset the burdens on entrepreneurs by simplifying administrative processes and reducing regulatory pressure.
Meanwhile, Unizo, the Flemish union for independents, expressed optimism about the agreement. They believe it brings a welcome sense of stability to small and medium-sized enterprises. However, Unizo stressed that the agreement’s value will depend on the specific details and implementation of the measures.
Unizo is particularly pleased that the government upheld its commitments from the summer accord, such as expanding the flexijob system to all sectors and relaxing night work rules in logistics and related industries. These changes, they argue, are essential for bolstering business competitiveness.
Both Unizo and the SDI support the introduction of a small parcel tax on goods shipped from outside the European Union. While they view the measure as modest, they believe it will help level the playing field for Belgian businesses against aggressive non-EU e-commerce platforms.
